Consumer Price Index data from Statistics New Zealand shows the real cost of telecommunications services dropped 6.3 percent in 2017.
The price falls are not evenly distributed across the industry. According to research company IDC the average price of a residential 100/20 Mbps fibre plan with uncapped data fell from $119.07 to $87.78. That's a 26 percent drop.
Telecommunications Forum CEO Geoff Thorn says the cost of comparable utilities have been increasing over time. He says: "The latest figures continue a trend seen across the board in New Zealand since 2006; the real cost of telecommunications services is decreasing, even as the quality and quantity of services provided is increasing."
Jason Attewell, Statistics New Zealand's senior manager, Labour Market and Household Statistics says the price consumers pay for technology effectively falls over time. "In the Consumer Price Index, we adjust prices to reflect improved products or services, even if the sticker prices stay the same", he says.